Critics from the Canadian Centre for Policy Alternatives have concluded that Prime Minister Mark Carney's economic policy is a continuation of neoliberalism, only in a more appealing wrapping. The assessment was given after Carney's speech in Davos, where he spoke sharply about the international order led by the United States, was praised abroad, and Canadian media picked up the favorable foreign commentary. For the critics, this wave of praise prompted the question of whether the course itself is changing or only its rhetoric.
At the core of Carney's strategy, according to the critics, is a plan to make Canada an energy superpower through oil, gas and mineral extraction. The government positions this as an export-oriented growth model, but the critics consider such an approach familiar. At the same time, Carney is promoting new trade agreements despite talk of economic sovereignty. Opponents argue that such agreements limit the government's ability to adopt independent policy, since commitments to partners narrow the room for national decisions.
The critics recall the privatization that began after the 1989 free trade agreement. Since then the federal government has sold dozens of state corporations, including Air Canada, CN Rail, Petro-Canada and Canadair. According to the critics, these sales had an ideological character rather than being merely a search for a good price. Provinces, in their words, followed the same path, combining privatization, cost cutting and a strict budget regime. Thus, the model they describe has not only a federal but also a provincial dimension.
The Fall 2025 budget provides for the reduction of 40,000 federal positions by the 2028–2029 fiscal year. At the same time, defence spending is rising toward the target of five percent of GDP. The critics expect military spending to be covered by cuts to transfers to the provinces, and note that Carney is reluctant to raise taxes. The combination of cuts and growing defence spending, in their view, means shifting the burden onto the provinces and public sector workers.
In the environmental sphere, Carney abolished the federal consumer carbon tax, which the critics called a step backward. They stress that this tax, by their data, reduced emissions and changed consumption patterns. Expanding oil and gas exports, in their view, means continued dependence on fossil fuels rather than a transition to a low-carbon economy.
The critics also point to large infrastructure projects. The Trans Mountain pipeline cost 34.5 billion dollars and, in their words, mostly serves the interests of foreign oil companies. These funds, they argue, could have financed child care, pharmacare and dental care. Comparison with such expenditure items is the central argument of their criticism regarding the government's priorities.
As an alternative, the authors propose developing public ownership in the areas of child care, public transit, health care and housing for seniors. They emphasize the priority of labour-intensive public services that create quality jobs, and of reducing dependence on fluctuations in international markets. In their logic, this approach could protect the economy from external shocks while also securing social guarantees for Canadians.